Ukraine’s parliament has rejected a proposed tax on foreign parcels, despite government warnings that the move could deepen the country’s financial problems and threaten funding needed for its war effort.
The bill, which is linked to commitments made to international lenders, received 194 votes on Tuesday — falling short of the 226 required for approval. It was not immediately known how many lawmakers voted against the proposal or were absent during the session.
Prime Minister Sergii Koretskyi had urged lawmakers to act quickly, warning that Ukraine faces a US$27 billion shortfall for defence needs. He said the country could receive about US$30 billion from international partners this year if it fulfils the commitments agreed with them.
“We have $30 billion – this is the amount we can, and should receive from our partners this year,” Koretskyi said at the beginning of the parliamentary session, stressing that several agreed reforms had yet to be completed.
The proposed parcel tax has become a sensitive issue in Ukraine’s negotiations with the International Monetary Fund (IMF) and European Union, which are supporting efforts to shore up government finances as Russia’s invasion continues to put enormous pressure on the economy.
President Volodymyr Zelenskiy also expressed frustration following the failed vote, saying political loyalties should not stand in the way of decisions made in Ukraine’s interests during wartime.
He acknowledged that some measures could be difficult, unpopular or unpleasant, but said they were nevertheless necessary to help the country withstand the current period.
Under the proposed changes, goods in foreign parcels worth less than €150 (about US$175) would no longer be exempt from taxation. The Finance Ministry has previously estimated that the measure could raise around 10 billion hryvnias (US$227.53 million) each year.
However, some lawmakers opposed the move because they feared higher taxes would increase the cost of living for Ukrainians already struggling with the economic impact of the war. Supporters, meanwhile, argued that taxing imported consumer goods could provide greater protection for domestic producers.
Danylo Hetmantsev, chairman of parliament’s finance, tax and customs committee, estimated that failing to approve the legislation could put about €4 billion in EU and IMF funding at stake. He did not immediately provide details supporting that figure, while the next funding instalments are expected to be determined during the IMF’s review.
“Financial disaster is not just around the corner. It is already in the room,” Hetmantsev said on Telegram after the vote.
An IMF monitoring mission is currently in Ukraine to review the country’s lending programme, adding further pressure on Kyiv to demonstrate progress on its reform commitments.
Meanwhile, Ukraine’s financial challenges continue to worsen as the war becomes increasingly costly. Russia has intensified attacks on Ukrainian cities and critical infrastructure, while damage to businesses and the wider economy continues to grow.
Kyiv was also hit by Russian strikes for a sixth consecutive day on Tuesday, underscoring the growing financial and security pressures facing the Ukrainian government.
